In New York City, There Was a Debate Whether to (1)

question 81

Multiple Choice

In New York City, there was a debate whether to (1) retrofit the city's buses for wheelchair access, or (2) pay the taxicab fares of the disabled. Proponents for making the buses handicapped accessible were motivated by concerns of:

• A) efficiency; it is much more expensive to pay taxicab fares than retrofit buses.
• B) fair and equal treatment.
• C) the deadweight losses from higher taxes associated with paying taxicab fares.
• D) the higher carbon emissions of taxicabs, which is a form of externality.

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Definitions:

Franchisee

The entity that pays for a franchise.

Supplier Relationships

The interactions and dealings between a company and the businesses that supply it with goods and services, crucial for maintaining smooth and efficient operations.

Cost Driver

A factor that causes a change in the cost of an activity, providing a basis for allocating costs based on the level of activity.

Support Department

An organizational unit that provides essential services and support to the primary activities of a business, but does not directly create products or services.